MID-YEAR RETAIL REAL ESTATE REVIEW

THE SNAPSHOT

™

2017

AUSTIN | /FORT WORTH | | WEITZMAN 1 THE TEXAS SNAPSHOT 2017 AUSTIN

WEITZMAN 2 THE TEXAS SNAPSHOT 2017 AS RETAIL OCCUPANCY REMAINS NEAR RECORD LEVELS, CONSTRUCTION MAY FINALLY BE RESPONDING

These findings are based on a review of AUSTIN’S RETAIL MARKET AS OF MID-YEAR 2016 retail market conditions for the greater AGAIN REPORTS A LOW VACANCY RATE, THANKS Austin area as of mid-year by Weitzman and Cencor Realty Services. ’s TO STRONG DEMAND FOR SPACE, LIMITED occupancy rate is based on an inventory of approximately 47.9 million square feet CONSTRUCTION AND THE BACKFILLING OF RETAIL of multi-tenant retail space in centers with 25,000 square feet or more. ­BOXES THAT HAD BEEN VACANT FOR YEARS. Occupancy remains highest in Central Austin, where density and active mid- AT MID-YEAR, THE MARKET IS REPORTING OVERALL and high-rise residential construction helps boost retail sales. The area also RETAIL SPACE AT THE 96-PERCENT OCCUPANCY is essentially built out in terms of retail space, creating barriers to entry except RATE. THIS IS A NOTABLY STRONG RATE, EVEN FOR through redevelopments.

A MARKET THAT HAS TRADITIONALLY MAINTAINED But thanks to some large new leases and the backfilling of long-vacant boxes, HEALTHY OCCUPANCY RATES IN THE LOW-TO-MID-90- many suburban markets are enjoying their PERCENT RANGE. strongest retail occupancy rates in recent memory. In Georgetown, for example, a former store on Austin Avenue that had been vacant since summer 2006 NO OTHER TEXAS MARKET HAS MAINTAINED saw a spate of leasing that has basically brought the box to full occupancy. New OCCUPANCY ABOVE 90 PERCENT AS CONSISTENTLY tenants include House of Gainz, which took more than 29,000 square feet; Golf AS AUSTIN. DURING THE RECESSION THAT STARTED Ranch, which took more than 8,000 IN 2007, WHEN RETAILERS LIKE LINENS ‘N THINGS square feet; and La Playa Mexican Cafe. FAILED AND CLOSED STORES, AUSTIN MANAGED For 2016, the only notable new retail vacancy was created by the failure of TO KEEP ITS OCCUPANCY ABOVE 90 PERCENT. Sports Authority. The retailer closed a 42,000-square-foot space at the massive NOW, THANKS TO A METRO-AREA ECONOMY THAT Southpark Meadows project at IH-35 and Slaughter Lane. The center should benefit RANKS AS ONE OF THE STRONGEST IN THE COUNTRY, from the trend of retailers backfilling the THE MARKET’S RETAIL SPACE IS AT NEAR-FULL few remaining well-located large-format vacancies on the market. OCCUPANCY. EXAMPLES INCLUDED:

EVEN WITH THE TIGHT MARKET, NEW CONSTRUCTION • H&M, the famed fast-fashion apparel retailer, which leased 20,000 square HAS REMAINED CONSTRAINED, LARGELY DUE feet of existing space in Bee Cave’s TO HIGH LAND AND CONSTRUCTION COSTS THAT mixed-use Hill Country Galleria. The location is the second in the Austin REQUIRE RECORD-HIGH RENTS. THESE RENTS ARE area for H&M.

ONE REASON WHY NEW SPACE IS BEING DELIVERED • Saks Fifth Avenue Off 5th, which opened an approximately IN WHAT ARE LARGELY SURE-SHOT LOCATIONS THAT 50,000-square-foot store during the HAVE THE DENSITY AND AFFLUENCE TO DELIVER first quarter of the year in a former furniture store in Gateway Shopping RETAIL SALES HIGH ENOUGH TO SUPPORT CURRENT Center, located on Research Boulevard in North Austin. CLASS A-PLUS RENT LEVELS THAT CAN HIT AT $40 PER SQUARE FOOT PER YEAR OR MORE FOR SMALL- SHOP SPACE. WEITZMAN 1 THE TEXAS SNAPSHOT 2017 • , a specialty grocer that will open in the Crescent, the newly branded name for the former Highland Village. 99 Ranch Market will open in the renovated center in 2017; the location is its first in Austin. • The Spot, an entertainment venue with a bar, bowling alley, movie theater and more, which is redeveloping part of the space in Springtown Center that formerly housed Target. The location is set to open this fall, joining a Gold’s Gym that opened in the first half of 2016 in the power center, located at 1180 Thorpe Lane in San Marcos. • The Society of St. Vincent de Paul is renovating a vacant 25,000-square- foot into offices, thrift retail, storage and a small restaurant. The site is located at 901 W. Braker Lane in North Austin. • STK Rebel, a high-end steakhouse, which leased nearly 11,000 square feet in a building formerly occupied by The Melting Pot at 305 East 3rd Street in downtown Austin.

Additionally, the retail market continues to see a high level of activity from local, regional and national restaurant concepts and other non-anchor tenants. THE VELOCITY OF THE NEW DEALS MAKES AUSTIN ONE OF THE MOST ACTIVE LEASING MARKETS IN THE COUNTRY, AND HIGHLIGHTS INCLUDE:

• Boiler Nine Bar + Grill, a multi- level locale that opened recently in 11,000 square feet in the Seaholm mixed-use project downtown along Lady Bird Lake. • Hopdoddy Burger Bar, which opened at 2800 North I-35 in Round Rock, and which will open in the second half of the year in The Triangle, a mixed-use project in Central Austin. • Grand Lux Café, the sister restaurant to The Cheesecake Factory, which leased the former Jasper’s location in The Domain. Jasper’s closed in late May 2016. • P. Terry’s, with new locations that include a 2016 restaurant on Research Boulevard, a location north of Capital Plaza on IH-35 and one along North Lamar.

• Torchy’s Tacos, which opened a flagship location in the former Fran’s location on South Congress in January 2016. • Pollo Tropical, which in May opened a new freestanding location on IH-35 in

WEITZMAN 2 THE TEXAS SNAPSHOT 2017 Kyle. approximately 700,000 square feet • Averages for Class C rates for small- • Chi’lantro, which opened its third area of space in new and expanded retail tenant in-line spaces typically range location in the first half of the year on projects. For calendar-year 2015, the from around $18 to $24 per square foot Burnet Road near The Domain. market added approximately 900,000 per year, though some Class C rates • Via 313 at 31st and Guadalupe. square feet of space in new and are in the mid-teens. • Other expanding concepts include expanded retail projects. Denver-based Snooze, a brunch For all classes of space, rates can go specialist that opened in Lamar The market has not seen construction notably lower or higher than the rates Central, a mixed-use project that top 1 million square feet since 2014, listed above due to factors including opened in 2015; Blenders & Bowls, which is extremely conservative for a anchors, traffic, demographics and with two new locations; Modern growth market with one of the lowest location within a center. Market, whose new locations include major-market unemployment rates -- 3.3 the high-profile street-level space percent – in the country. EXPANDING RETAIL CONCEPTS in downtown’s Frost Tower; Moe’s Southwest Grill, which leases For descriptions of new retail opening in 2016 three new locations; Bufalina Due, and 2017, see Appendix 1. a specialty pizzeria, with a second location on Burnet Rd; Flyrite, a fast- The tight market for well-located Class A casual chicken concept­ that opened retail space is resulting in average rates February on E. Seventh St.; and ELM above $30 per square foot for shop space Group’s new concept, Irene’s, with a in newly constructed projects. For the location on West Ave., and Easy Tiger, best-located new-construction projects with its second location. ELM Group is and existing retail centers, rates have known for 24 Diner and others. reached the $40-per-square-foot-or- • Houston-based Cyclone Anaya’s higher level in many key centers. MAD Greens, The Dogwood, Salvation Pizza, Tarka Indian As Class A space fills up, the resulting Kitchen, East Side King Thai Kun, demand for Class B and some C spaces Second Bar + Kitchen, Sway (which has resulted in rental rate increases for also has a new location in Westlake), select properties in those categories. Velvet Taco and others that are However, there still remains a significant opening or will open at Rock Rose in gap between Class A and other classes The Domain. of rents. • Health and fitness concepts include Massage Heights, with two new • For small-shop space in anchored locations, and Cyclebar, which is Class A projects, rates range from the expanding. mid-$30s per square foot per year to $40 per square foot or higher; Based on space open or scheduled • Averages for Class B small-tenant to open during calendar-year 2016, rates are posting from the mid-$20s to the Austin market is on track to add around $33 per square foot per year;

WEITZMAN 3 THE TEXAS SNAPSHOT 2017 DALLAS / FORT WORTH

WEITZMAN 4 THE TEXAS SNAPSHOT 2017 D-FW RETAIL MARKET ENTERS THIRD YEAR OF RECORD STABILITY AS POPULATION, JOB GROWTH SOAR AND CONSTRUCTIOND MARKET PEAKS DALLAS-FORTF WORTH’S RETAIL MARKET AS OF neighborhood centers, long the market’s weakest category, report occupancy MID-YEAR 2016 CONTINUES TO REPORT OVERALL nearing 87 percent, the category’s strongest performance in years. ­OCCUPANCYW RIGHT AT 91.6 PERCENT, THANKS TO NEW PRE-LEASED CONSTRUCTION, THE BACKFILLING OF LARGE RETAIL VACANCIES AND ONLY A FEW RETAIL THE WINCO CLOSINGS, MOST NOTABLY SPORTS AUTHORITY AND EFFECT FRESH MARKET. The market did see some new key vacant spaces come onto the market, most notably the nine FOR D-FW’S RETAIL MARKET, OCCUPANCY EXCEEDING closed Sports Authority stores, which created more than 411,000 90 PERCENT IS BECOMING ALMOST COMMONPLACE, square feet of new vacancy, DESPITE THE FACT THAT OCCUPANCY REMAINED plus four Fresh Market stores, although altogether these add BELOW THAT MARK IN RECENT YEARS, EVEN up to less than 90,000 square feet. Fortunately, D-FW has a DROPPING TO AS LOW AS 86 PERCENT IN 2009. stellar track record of backfilling retail vacancies, and 2016 is no exception.

IN FACT, THE CURRENT OCCUPANCY RATE IS SECOND To make locations and existing ONLY TO YEAR-END 1984, WHEN THE MARKET POSTED centers as attractive as possible for expanding retailers, many 92 PERCENT. THE MARKET IS ON TRACK TO MATCH sites are undergoing renovations. In Uptown Dallas, even high- OR EXCEED THAT RECORD RATE, BASED ON CURRENT profile mixed-use project The Crescent is in the game, this LEASING AND DEMAND SUPPORTED BY THE HOTTEST year wrapping up a $33 million renovation that is helping its RESIDENTIAL MARKET IN YEARS, POPULATION retail space sign new concepts GROWTH THAT LEADS THE NATION AND JOB GROWTH like the popular -based Shake Shack. As expanding THAT HAS RESULTED IN NEAR-FULL EMPLOYMENT, grocers, like WinCo with new 85,000-square-foot stores, open WITH AN UNEMPLOYMENT RATE OF ONLY 4 PERCENT in existing centers, many projects are reporting their highest AT MID-YEAR. occupancy in decades thanks to the grocer’s shopper traffic and the co-tenancy it attracts. THE OCCUPANCY GAIN DURING The D-FW occupancy rate is based on a THE PAST YEAR WAS BOOSTED total market inventory of approximately For 2016, leasing in existing BY THE STRONG ECONOMY 194 million square feet of retail space in centers is boosting occupancy ALONG WITH THE FOLLOWING: shopping centers with 25,000 square feet and eliminating spaces both large or more – the largest retail inventory for and small from the market. • construction dominated by space for any metro area in Texas. anchors, meaning that construction EXAMPLES OF THE helps boost occupancy; Every category of retail center except LARGER BACKFILLED • limited store closings, with well- one reports occupancy rates above 90 LOCATIONS INCLUDE: located vacancies re-leased within percent. Community centers, the largest months, not years; category with more than 75 million square • H&M, the famed fast-fashion • new retailer and restaurant entrants feet of inventory, are at 91 percent. Power retailer, which opened during that expanded primarily via existing centers are at just above 95 percent. the first half of the year in a space due to the limited amount of Mixed-use is just under 96 percent, and 31,000-square-foot vacancy new speculative space. malls are just under 94 percent. Even

WEITZMAN 5 THE TEXAS SNAPSHOT 2017 created when Barnes & Noble closed in downtown Fort Worth; H&M also leased 22,000 square feet in Fort Worth’s Hulen Mall for a store to open this fall. • WinCo Foods, with approximately 85,000-square- foot stores, including:

• a store in Carrollton’s Trinity Valley, located at Josey Lane and SH-190, which opens in early 2017 at the site of a Target store that closed in 2015; • a store opening this year in Bardin Place, on South Cooper Street in Arlington, in a site formerly occupied by Sports Authority in Arlington; • Burlington Coat Factory, which leased approximately 48,000 square of former multitenant space, in Cedar Hill Shopping Center on FM 1382 in Cedar Hill. Central Market stores. As previously The D-FW retail market activity, reported, H-E-B has secured sites especially retail leasing demand and store throughout the North Texas market, but growth, is boosted by the area’s economy, has not confirmed plans or dates for the which ranks as one of the strongest DESPITE STRONG MARKET, land parcels. metro economies in the country. In terms NET RETAIL CONSTRUCTION of job growth, D-FW has annual job DECLINES growth of about 117,000, and during the In terms of rental rates, the current most recent 12-month survey by the U.S. As of mid-year 2016, based on retail retail market is seeing asking rents Census Bureau, D-FW added more than open or scheduled to open this year, remain stable following several 144,000 people. As a result of jobs and D-FW is on track to add approximately years of increases. The rates below population growth, the D-FW residential 2 million square feet in new and are averages, and asking rates market is setting records in terms of price expanded projects. The construction can go higher or lower depending increases for existing homes and multi- total represents a notable drop from on location, center, co-tenancy, family construction. As has always been 2015, when the market reported new traffic patterns and other related the case, a strong residential market is a construction of 2.7 million square feet of variables. Additionally, concessions huge driver for a strong retail market. retail in new and expanded projects. like free rent can lower effective rates, but concessions in With powerful growth expected to See Appendix 2 for new space open or scheduled the current market are fairly continue in the key areas of population, to open in major retail centers in 2016 and 2017. conservative. jobs and residential growth, the outlook for the D-FW retail market for the One of the most notable planned projects, AS OF MID-YEAR 2016, BY remainder of 2016 is for a year of steady in terms of its anchor, is a grocery- CLASS OF CENTER: gains that will carry forward to 2017. anchored center in the Tarrant County (Fort Worth area) town of Mansfield that • Class A Rates ranged from received zoning approval in June 2016. mid-$20s to high $30s per While a grocery store as an anchor is square foot per year, with rates fairly common in D-FW, this anchor – in the best-located projects H-E-B – is not. H-E-B is a market leader going for $45 per square foot in Austin, Houston and San Antonio, or higher. but its presence in D-FW is limited to a • Class B rates ranged from the handful of stores on the outskirts of the low teens to mid-$20s. Metroplex. The Mansfield store would • Class C rates ranged from $8 represent H-E-B’s strongest presence to $16. in D-FW to date outside of its specialty

WEITZMAN 6 THE TEXAS SNAPSHOT 2017 EXPANDING RETAIL CONCEPTS

WEITZMAN 7 THE TEXAS SNAPSHOT 2017 HOUSTON

WEITZMAN 8 THE TEXAS SNAPSHOT 2017 HOUSTON RETAIL MARKET SEES LIKELY CONSTRUCTION PEAKH IN 2016 AS OCCUPANCY, LEASING DEMAND PLATEAU HOUSTON’S RETAIL MARKET AS OF MID-YEAR 2016 VACANCY REMAINS LIMITED

REPORTSO A HEALTHY OCCUPANCY RATE OF 95.5%, While high profile, the closings represented only a rounding error for WHICH RANKS AS ONE OF THE STRONGEST RATES a market with more than 150 million RECORDEDU FOR THE MARKET. HOWEVER, OCCUPANCY square feet of retail inventory; as they are marketed, the vacant boxes are likely DROPPED NEARLY ONE-HALF PERCENT COMPARED TO to find new tenancy within a reasonable S amount of time due to the fact that the A YEAR AGO DUE TO SLIGHTLY SLOWER RETAIL SHOP- metro area has a strong track record of SPACE LEASING AND STORE CLOSINGS THAT ADDED backfilling vacant existing space. CLOSET TO 1 MILLION SQUARE FEET OF VACANT SPACE The retail market is benefitting from the continued strength of the Houston TO THE MARKET. economy, which despite the loss of O numerous energy-sector jobs, still reports an unemployment rate of only 5.5 percent THE RETAIL MARKET TO DATE HAS CONTINUED as of mid-year 2016, according to the N Texas Workforce Commission. The rate TO PERFORM BEAUTIFULLY THROUGHOUT THE actually is in line with the 5.0 percent rate posted as of mid-year 2015. OIL MARKET DOWNTOWN, THANKS TO THE METRO AREA’S DIVERSIFIED ECONOMY, STRONG POPULATION GROWTH, THE MOST ACTIVE RESIDENTIAL MARKET IN Thanks to positive job YEARS AND JOB GROWTH THAT REMAINS POSITIVE. growth combined with strong population growth, the DURING THE FIRST HALF OF 2016, THE MARKET SAW ongoing oil price downturn that began in mid-2014 has THE CLOSURE OF 11 SPORTS AUTHORITY STORES, FOUR had few negative effects on FRESH MARKET GROCERY STORES AND TWO the retail market; however, segments of the office and STORES, A SUPERCENTER ON FM 1960 WEST AND industrial markets have seen vacancy increase due A NEIGHBORHOOD MARKET ON GESSNER. SPORTS to its heavy concentration of “upstream” energy AUTHORITY’S 11 AREA STORES RANGED IN SIZE firms, particularly in the FROM 35,000 TO MORE THAN 65,000 SQUARE FEET, Downtown and Energy Corridor submarkets. The CREATING WELL OVER A HALF A MILLION SQUARE segments like refineries and petrochemical plants FEET OF VACANCY IN THE PROCESS. FRESH MARKET’S that make up Houston’s FAILURE DID NOT HAVE AS LARGE AN IMPACT, BUT “downstream” market, however, continue to perform ITS CLOSURE OF FOUR AREA STORES ADDED CLOSE strongly due to the fact that they benefit from lower oil TO 90,000 SQUARE FEET OF VACANT SPACE, AND THE prices. This is boosting the residential and retail markets WALMART CLOSINGS FURTHER ADDED MORE THAN in Houston’s eastern areas like 272,000 SQUARE FEET OF VACANCY TO THE MARKET. Baytown, Pasadena and Deer Park. The strong economies in these areas are leading to higher residential and retail WEITZMAN AND CENCOR REALTY SERVICES REVIEW construction, and the jobs created by the downstream A HOUSTON-AREA RETAIL MARKET INVENTORY OF boom are seen as one key APPROXIMATELY 152 MILLION SQUARE FEET IN MULTI- factor that is keeping the Houston market out of TENANT RETAIL CENTERS WITH 25,000 SQUARE FEET negative job-growth territory. OR MORE.

WEITZMAN 9 THE TEXAS SNAPSHOT 2017 RESTAURANT MARKET SIZZLES

Many of the new restaurants are concepts that are entering the Houston market. THESE INCLUDE:

• Roka Akor, a high-end Japanese steak, sushi and seafood restaurant that will open in 2017 in the 2929 Weslayan luxury residential tower in the River Oaks area of Houston; • Mellow Mushroom, a specialty pizza concept that will open its second Houston location at 1919 N. Shepherd in the Heights area. Also in the Heights, Dallas-based specialty pizza concept Cane Rosso opened its first Houston location during the first half of the year at 1835 N. Shepherd. • Fast-casual Malawi’s Pizza, which is entering the market with locations at 8731 Highway 6 in Sienna Plantation and at Central Square Midtown, a mixed-use project located at 2100 Travis Street in the Midtown district; • Tacodeli, a favorite out of Austin, which will open its first Houston location at 1902 in fall 2016; • Fast-casual and quick-serve chicken concepts, which are expanding marketwide and include Pollo Loco, Pollo Tropical, Chick-fil-A, Chicken Express and Slim Chickens; • Specialty dessert concepts, including Sub Zero Ice Cream and Steel City Pops. Steel City Pops opened in Heights Plaza at 420 E. 20th Street in CONSTRUCTION MAY PEAK GROCERS BACKFILL early July, and Sub Zero has a total IN 2016 VACANCIES of five area locations to date, with the most recent being in Main Street For calendar year 2016, the Houston-area The market is also seeing strong demand Kingwood. retail market is on track to add more than for space in existing centers. 2.9 million square feet of retail space in RETAIL RENTS REMAIN new and expanded projects, an increase LEASING HIGHLIGHTS INCLUDED: STEADY over the 2.7 million square feet that came online in 2015 and well above the • , which opened In terms of rent, the Houston retail 1.7 million square feet of new space that a 40,000-square-foot store at 11041 market is seeing average quoted rents came online in 2014. Westheimer Road during the first half remain steady and maintaining the levels of the year in a former ; they reached in 2015. Demand for the Based on projects underway and planned, • H-E-B, which opened a Class A space, however, can result in the market should see construction reach 62,000-square-foot store at the site of small-shop rates in the best-located and its high point this decade during 2016, a vacant Kmart during the first quarter newly constructed projects going as high returning in 2017 to the levels of 2014. at Highway 146 near Palmer Highway $50 to $60 per square foot per year in in Texas City; select areas like Galleria, River Oaks and The majority of new retail centers • Academy, which opened a Midtown. opening or under way for completion 63,000-square-foot store at 1461 by year-end are dominated by grocery- Spring Cypress and I-45, which FOR SMALL-SHOP IN-LINE SPACE anchored retail. represents the redevelopment of a IN WELL-LOCATED, ANCHORED former location; PROJECTS: For details on grocery and non-grocery new • El Mercado, a Hispanic-themed projects opening in 2016 and 2017, see grocery store, with a 42,130-square- • Class A rates ranged from $30 to the Appendix 3. foot space in Fairmont Junction high $30s on a per-square-foot-per- Shopping Center on Fairmont Parkway year basis, with rates for quality space in Pasadena.

WEITZMAN 10 THE TEXAS SNAPSHOT 2017 inside the Loop typically rising above $40 per square foot or more. • Class B small-shop space average rates are posted from the low to the high $20-per-square-foot-per-year range. • Class C small-shop rates typically were in the $15- to $20-per-square- foot-per-year range.

These rates are average small-shop asking rates, and rates at specific centers can be notably higher or lower depending on location, anchors, type of tenant, specific-space sizes and demographics. For the remainder of 2016 and going into 2017, the retail market will proceed with caution as it watches the energy sector performance, but we expect to see the coming year end on a strong note thanks to a lack of speculative shop space and construction dominated by some of the strongest retailers in the country. EXPANDING RETAIL CONCEPTS

WEITZMAN 11 THE TEXAS SNAPSHOT 2017 SAN ANTONIO

WEITZMAN 12 THE TEXAS SNAPSHOT 2017 ALAMO CITY RETAIL MARKET SEES GAINS, CONSTRUCTION REACHES TWO-YEAR HIGH AS MARKET TIGHTENS

SAN ANTONIO’S RETAIL MARKET POSTED A HEALTHY OCCUPANCY RATE OF 94 PERCENT AS OF MID-YEAR 2016, EVEN AS KEY VACANCIES FROM SPORTS AUTHORITY CAME ONTO THE MARKET. THE ALAMO CITY IS ABLE TO MAINTAIN THE BALANCE DUE TO THE FACT THAT VACANCY ADDED BY THE SPORTING GOODS RETAILER WAS OFFSET BY FULLY LEASED CONSTRUCTION AND THE BACKFILLING OF MAJOR RETAIL BOX SPACES.

THE OCCUPANCY RATE IS BASED ON A REVIEW OF SAN ANTONIO AREA MULTI- TENANT SHOPPING CENTERS WITH 25,000 SQUARE FEET OR MORE CONDUCTED BY WEITZMAN AND CENCOR REALTY SERVICES. THE REVIEW IS BASED ON A SAN ANTONIO RETAIL MARKET INVENTORY OF 44.9 MILLION SQUARE FEET.

THE MARKET FOR CLASS A SPACE REMAINS TIGHTER THAN THE OVERALL MARKET, AND CENTERS AT THE MORE PROJECTS IN THE WORKS BEST-PERFORMING INTERSECTIONS AND RETAIL A number of major retail projects DISTRICTS THROUGHOUT SAN ANTONIO ARE OFTEN are on the drawing board, and of these, we expect to see several COMPLETELY FULL. break ground by year-end 2016 or in 2017.

THE MARKET’S LIMITED RETAIL CONSTRUCTION IS For 2016, the retail projects opening or scheduled to open DOMINATED BY ANCHOR STORES, MOST NOTABLY by year-end include several Walmart stores, both large- WALMART AND H-E-B. THESE ANCHORS COME ONLINE format Supercenters and smaller Neighborhood Markets, which WITH LIMITED OR EVEN NO SMALL-SHOP SPACE, are each approximately 42,000 ENSURING A TIGHT MARKET FOR SPACE DURING square feet. A TIME OF STEADY DEMAND FOR RESTAURANT, For details on new construction in 2016 and 2017, see Appendix 4. SERVICE AND SHOP SPACE.

THE MARKET’S CONSTRUCTION PACE IS ON TRACK TO STRONG CONCEPTS BACKFILL ADD APPROXIMATELY 1.3 MILLION SQUARE FEET FOR RETAIL VACANCIES 2016, MAKING IT THE MOST ACTIVE CONSTRUCTION The market’s healthy occupancy is maintained by retail concepts taking large MARKET SINCE 2014, WHEN 1.4 MILLION SQUARE vacancies in existing space. FEET WAS ADDED TO THE MARKET. DURING 2015, THE EXAMPLES OF BACKFILLED SPACE INCLUDE: MARKET ADDED LESS THAN 900,000 SQUARE FEET. • At Home, a Texas-based home décor FOR A MAJOR METRO RETAIL MARKET IN THE MIDST superstore, which absorbed one of San OF STRONG ECONOMIC GROWTH, 1.3 MILLION SQUARE Antonio’s largest remaining vacancies by leasing a 118,000-square-foot FEET IS EXTREMELY CONSERVATIVE. former Target store at 8421 U.S. 281 WEITZMAN 13 THE TEXAS SNAPSHOT 2017 North, near . The store TIGHT CLASS A MARKET San Antonio’s retail market continues to is slated to open in 2017. PUSHES UP RENTS FOR B, C benefit from the continued soundness of • West Elm, the upscale home CENTERS the metro area’s economy, which ranks furnishings chain, which in late June as one of the better-performing major opened an 11,000-square-foot store at Asking retail rents remain stable in San markets in Texas and the country. 201 E. Grayson Street, near downtown, Antonio, with rents for the market’s in existing space that most recently strongest Class A retail centers EXPANDING RETAIL CONCEPTS: served as a haunted house. maintaining the increases they’ve • F21 Red, a family apparel concept experienced over the past 18 months. from Forever 21, which leased 22,000 While Class A rents are steady, the tight square feet in part of a former market for space is resulting in increases JCPenney Home Store at Ingram in rates for Class B and C retail space. Festival, a mall-peripheral­ power center. FOR CENTERS BY GRADE: • Epic Thrift, a Phoenix-based thrift store, with a lease that backfilled just • Average Class A asking rents for under 24,000 square feet at 5538 small-shop in-line spaces in the Walzem Road; market’s strongest centers, including • YMCA of Greater San Antonio, with new construction, ranged from $26 a 2016 opening in a 53,570-square- to the mid-$30s per square-foot per foot former grocery store located at year. These rates are for small-shop Potranco Road and Highway 151; space in the newest and/or strongest • J. Crew Mercantile, a new concept anchored projects. For leading Class from J. Crew, which opened in existing A retail centers, rates can reach the space in the high-profile Alamo Quarry $40-per-square-foot-or-higher level. Market; • Class B asking rates typically are in • The multi-tenant redevelopment of the the $19-to-$23-per-square-foot range. historic Joske’s building, circa 1887, in • Class C asking rates are in the $14-to- downtown San Antonio’s Rivercenter. $18-per-square-foot range. The space, branded Shops at Rivercenter, features a 33,000-square- The reported rates are average asking foot Dave & Buster’s that opened in rates and do not take into consideration January and a two-story H&M that concessions. Rates can be higher or lower opened in February. In addition, new depending on location, co-tenancy, center concepts locating at the mall include condition and other factors. Jimmy Buffet’s Margaritaville, Yard House and Johnny Rockets.

WEITZMAN 14 THE TEXAS SNAPSHOT 2017 APPENDIX 1: AUSTIN CONSTRUCTION NEW RETAIL FOR 2016 NEW RETAIL FOR 2016

Rock Rose (specialty retail phase of The Domain, MoPac Expy near W. Braker Ln, Austin The 100,000-square-foot new phase for The Domain offers a focus on a massave multi-phased mixed-use project) local restaurants, retailers, services and more, including Viva Day Spa, Tarka Indian Kitchen, Birds Barbershop, MAD Greens, Salvation Pizza and more.

Nordstrom, at The Domain MoPac Expy near W. Braker Ln, Austin Nordstrom’s second full-line department store in Austin. 127,500 SF

Star Ranch SH-130 & Gattis School Rd, Hutto The center is to open in the second half of the year and will be anchored by a 121,000-square-foot H-E-B Plus. Other concepts are to include Gold’s Gym and Five Star ER. The center is the first major retail project along SH-130, the Austin area’s newest freeway, in approximately a decade.

H-E-B 4500 FM 2338, Georgetown Expanding its Georgetown store by 12,500 square feet added to the existing 84,000 square feet

High Five 1502 RR 620 in the Oaks at Lakeway, A 46,000-square-foot entertainment venue with bowling, an arcade, a Lakeway restaurant and bar and more.

Crystal Falls Town Center SWC Lakeline Blvd & Crystal Falls Pkwy, A community retail center that is underway and will be anchored by an Leander approximately 60,000-square-foot Randalls grocery store. The center will total around 94,000 square feet and is scheduled to open in the fourth quarter of 2016.

Alamo Drafthouse Cinema I-35 between 51st St & Airport Blvd, Austin Alamo Drafthouse is currently under construction and should be the first major concept to open at Aldrich Street, the new multi-phase retail addition to the Mueller master-planned community, which will see the majority of its first-phase tenants open in 2017.

LA Fitness 1824 W. Slaughter Lane, Austin A 45,000-square-foot facility opened in March 2016

NEW RETAIL FOR 2017

The Parke SWC of Toll Road 183A & New Hope Rd, The 370,000-square-foot center will feature Austin’s first 365 by Whole Cedar Park Foods grocery, as well as Nordstrom Rack, Dick’s Sporting Goods, DSW, Michaels, Marshalls and others.

Belterra Village US-290 at Nutty Brown Rd, Dripping The project will open its 200,000-square-foot first phase in fall 2017, Springs bringing online retail and a mix of uses including a hotel, medical offices and a senior-living community. In terms of retail space, the first phase will bring online 85,000 square feet and will include a 14-screen Sky Cinemas, Total Wine, Pet Supplies Plus, Great Clips and Breed & Company hardware store. In 2018, a new H-E-B is planned across the street at the same intersection.

Aldrich Street Mueller master-planned­ community, I-35 The new multi-phased retail addition to the Mueller master-planned com- between 51st St & Airport Blvd, Austin munity should see the majority of concepts in its first phase open in 2017, following an already-mentioned Alamo Drafthouse on track for a late 2016 opening. Aldrich Street’s retail is designed with a focus on local concepts and will feature as much as 1.2 million square feet of mixed-use space (which includes an existing museum, apartments and offices). Other an- nounced concepts include Halcyon coffee bar, J.T. Youngblood’s restaurant, Stella Public House, Lick Ice Creams, an Irish pub and several others.

Harker Heights Plaza Toll Road 183A & East Whitestone Blvd, This planned retail center will join anchor Walmart Neighborhood Market. Cedar Park

Crosscreek Market Toll Road 183A & East Whitestone Blvd, A 37,500-square-foot neighborhood center Cedar Park

WEITZMAN 15 THE TEXAS SNAPSHOT 2017 APPENDIX 2: DALLAS - FORT WORTH CONSTRUCTION

NEW RETAIL FOR 2016

The Shops at Prosper Trail 1250 Preston Rd, Prosper This center, anchored by a 123,000-square-foot Kroger Marketplace, opened in the first quarter of 2016.

Highland Station Blue Mound Rd near I-35W, Fort Worth A Kroger Signature-anchored center set to open in November 2016. The Kroger totals approximately 102,500 square feet, and the project also includes 17,000 square feet of shop space and a freestanding CVS store.

Glade Parks SH-121 & Glade Rd, Euless This mixed-use project added a 95,000-square-foot Belk depart- ment store in its newest phase.

Presidio Towne Crossing NWQ of I-35W & N Tarrant Pkwy, Fort A center in the Presidio Junction mixed-use development, where a Worth newly constructed WinCo Foods with approximately 85,000 square feet opened during the first half of the year.

Rayzor Ranch US-380 & I-35, Denton Another new WinCo Foods just joined the lineup at this center.

Teasley Town Square Teasley Ln & Ryan Rd, Denton A 75,000-square-foot Walmart Neighborhood Market-anchored community center

Sprouts-anchored retail Teasley Ln & Hickory Square Rd, Sprouts will open in late August 2016, along with limited shop Denton space.

Waterside Bryant Irvin & Arbor Lawn, Fort Worth On completion, this project will have up to 200,000 square feet of retail space. The first phase included an REI store, now open, and a Whole Foods Market opening in fall 2016. The project’s first phase upon completion will include Cyclebar, Mattress Firm and a number of restaurants, including one of D-FW’s first Tokyo Joe’s.

Whole Foods Market 6741 N MacArthur Blvd, Irving The specialty grocer has three openings in 2016, this one and those at Waterside, mentioned previously, and City Line Market, below.

Walmart Supercenter US-380 near Creekview Dr, Princeton The 192,000-square-foot superstore is scheduled for a summer 2016 opening.

Kroger Marketplace N Tarrant Pkwy & Ray White Rd, North Fort An approximately 123,000-square-foot Kroger store. Worth

Kroger Marketplace N Old Decatur Rd & W Bailey Boswell Rd, Another approximately 123,000-square-foot store. Fort Worth

CityLine Market Renner Rd & Plano Rd, Richardson A mixed-use project with an approximately 100,000-square-foot community retail component anchored by Whole Foods Market.

Waxahachie Marketplace US-77 & Bessie Coleman Blvd, Waxahachie The second phase for 2016 contains approximately 100,000 SF for junior anchors.

NEW RETAIL FOR 2017

Legacy West Urban Village SWC of SH-121 & Dallas North Tollway, Approximately 300,000 square feet of retail space in the massive mixed-use Plano project is set for a March 2017 grand opening. The project ranks as one of the largest retail ­projects opening in 2017. The line-up includes a number of well-known retailers and restaurants, such as Tommy Bahama’s, Del Frisco’s Double Eagle Steak House, Fogo de Chao, Shake Shack and others. The Euro-style 55,000-square-foot Legacy Food Hall at the project is also set to open at in 2017.

WEITZMAN 16 THE TEXAS SNAPSHOT 2017 NEW RETAIL FOR 2017 - CONTINUED

The Star Frisco This mixed-use development anchored by the Dallas Cowboys in Frisco is designed to feature 200,000 square feet of retail space that will include Dee Lincoln Prime, Liberty Burger, Mi Cocina and others. Opening is set for 2017.

Cinépolis SH-121 & Glade Rd, Euless The leading world-class cinema exhibitor will open in summer 2017 at Glade Parks, a power and lifestyle retail project.

The Gates of Prosper US-380 & Preston Rd, Prosper A retail center with an approximately 300,000-square-foot first phase anchored by Walmart Supercenter, which is now under construction.

Prosper Plaza US-380 & Custer Rd, Prosper This project will be anchored by a 123,000-square-foot Kroger Marketplace.

Windsong Ranch Marketplace US-380 & Gee Rd, Prosper A Kroger Marketplace-anchored center that is expected to open during the first half of 2017. Additional anchor retail is planned for a future phase of the site.

Sprouts-anchored retail Eldorado & Teel Pkwys, Frisco An approximately 65,000-square-foot retail center anchored by .

Kroger Ross Ave & Hall St, Dallas A 78,000-square-feet store planned to open in 2017.

Tom Thumb urban locations Akard St & Cedar Springs Rd, Dallas A grocery is planned for street-level space in the Union high-rise project at the edge of downtown Dallas, which should open in 2017, and for the City Lights apartment tower planned Live Oak St & Texas St, Dallas for a 2018 opening at Live Oak and Texas streets, just east of downtown Dallas. Tom Thumb also plans a third urban-Dallas location, a 55,000-square-foot store planned for Denton Drive and Maple Avenue, although no opening date has been confirmed.

Allen Premium Outlets Stacy Rd & US-75, Allen The open-air center plans to expand by 122,000 square feet.

Midlothian Towne Center FM 663 & US-287, Midlothian A Kroger Marketplace-anchored center set to open its first phase in 2017.

Victory Park Stemmons & Woodall Rogers Fwys, Dallas A new Cinepolis luxury cinema and small shop space will open at this major mixed-use project in late 2017 or in 2018.

Irving Music Factory SH-114 near Northwest Hwy, Irving A mixed-use 250,000-SF music-oriented project near the Irving Convention Center, which is set to open in late 2017 or 2018.

Village 21 SH-121 & Preston Rd, Plano A mixed-use project designed for as much as 500,000 square feet of retail space near Mall. A segment of small-shop multi-tenant retail and restaurant space is now underway.

Sam’s Club US-75 & Haskell Ave, Dallas The store is planned as the anchor for East Village, a retail center underway in the CityPlace area near downtown Dallas.

Costco NEC of US-380 & Hardin, McKinney The store is planned as the anchor for a future project. McKinney approved the zoning request this past spring.

Kroger Goliad & Quail Run, North Rockwall The store is on track to open in 2017. It will be the second Kroger in Rockwall.

Main Marketplace NWC FM 423 & King Rd, Little Elm The center will be anchored by Flix Brewhouse, a meal-and-a-movie entertainment concept based in the Austin area. Completion is set for mid-2017.

The Shops at Clearfork Edwards Ranch Rd & Clearfork Main St, The retail component of a major mixed-use development. The 2017 project’s anchor is Fort Worth Neiman Marcus.

Wade Park Dallas North Tollway & Lebanon Rd, Frisco The retail component of this $1.6 billion mixed-use project is set to include Whole Foods Market, iPic Theaters and a number of shops and restaurants. The retail is slated to open in the fourth quarter of 2017 or later.

Scheels SH-121 & Paige Rd, The Colony Although it’s not set to open until 2020, it’s notable that Fargo, N.D.-based Scheels is on track to enter the D-FW market with a 300,000-square-foot megastore in the Furniture Mart-anchored Grandscape development.

WEITZMAN A-1 THE TEXAS SNAPSHOT 2017 APPENDIX 3: HOUSTON CONSTRUCTION

NEW RETAIL FOR 2016

Valley Ranch Town Center US-59 N at Grand Parkway, Porter (Montgomery This major project designed for retail and entertainment space is seeing its first County) anchors, Kroger Marketplace and Sam’s Club, set to open by year-end or in early 2017.

Woodshore Marketplace SWC Oyster Creek Dr & Dixie Dr, Clute A community retail center with a 123,000-square-foot Kroger Marketplace an- chor that opened during the first quarter 2016. An additional 16,450 square feet of retail was also completed during the first half of the year.

Clear Lake Marketplace Clear Lake City Blvd & El Dorado Blvd, Houston This center, anchored by an approximately 100,000-square-foot H-E-B, opened in the first half of 2016.

Fairfield Marketplace NEC Hwy 290 & Mason Rd, Cypress This community center with Kroger Marketplace and approximately 30,000 square feet of shop space opened in the first half of 2016 in the master-planned Fairfield community.

The Junction at Deer Park NEQ of Spencer Hwy & East Blvd, Deer Park The center opened its first phase, an 83,000-square-foot H-E-B grocery, in 2015. A second phase, with 14,600 square feet, breaks ground later this year, and future phases will bring the center to more than 400,000 square feet.

Westlake Marketplace Beltway 8 E & West Lake Houston Pkwy, This retail center is designed to total 450,000 square feet upon completion. The Humble first phase is anchored by a 123,800-square-foot Kroger Marketplace and is set to open in August 2016. Other retailers announced for the project include Old Navy, Marshalls, Ross, Michaels, Burlington, PetSmart and Ulta.

Main Street Kingwood West Lake Houston Pkwy & Kingwood Dr, The center will be anchored by a 107,000-square-foot H-E-B grocery that is Houston currently under construction with a scheduled second half 2016 opening. The center also features a number of restaurants.

Cypress Creek Plaza NEC Fry Rd & Tuckerton, Cypress Anchor H-E-B opened a 100,000-square-foot store in this center in fall 2015. An additional 51,000 square feet of multi-tenant buildings broke ground in late 2015 for a 2016 opening.

Shops at Katy Reserve FM 1463 & Spring Green Blvd, Katy The center opened its fully leased first phase of nearly 160,000 square feet in 2015. The center is anchored by an approximately 123,000-square-foot Kroger Marketplace. A small-shop Phase II delivery with 16,000 square feet joining a 37,000-square-foot 24 Hour Fitness, is set for mid-2016.

Walmart Supercenter 2901 Riley Fuzzel Rd, Spring The store opened during the first half of 2016.

Walmart Neighborhood Market FM 518 West & Landing Blvd, League City This Walmart, a smaller grocery concept from the retail giant, opened in early 2016 and anchors The Shoppes at Landing.

Trader Joe’s 11683 Westheimer Rd, Houston The specialty grocer’s fifth location in Houston, a 9,500-square-foot store opened in July 2016.

H-E-B SH-99 & Harlem Rd, Richmond A 102,000-square-foot store located in the Aliana master-planned community in Richmond, now under construction, is scheduled to open in the second half of 2016.

H-E-B FM 1488 & Tamina Rd, Magnolia The grocery store is scheduled to open in late 2016.

Marketplace at Ninety-Six League City Pkwy & Hobbs Rd, League City In addition to the 123,000-square-foot Kroger, this community center will open in fall 2016 with an additional 25,900 square feet of space.

Kroger Marketplace Baytown Garth Rd & Hunter Rd, Baytown Kroger Marketplace anchors the center, which totals approximately 170,000 square feet.

WEITZMAN A-2 THE TEXAS SNAPSHOT 2017 NEW RETAIL FOR 2016 - CONTINUED

The Market at Crenshaw Beltway 8, between Fairmont Pkwy & Crenshaw The first phase of this regional project opened in 2015 with Burlington, Party City Rd, Pasadena and Tuesday Morning. A second, approximately 60,000-square-foot phase is scheduled for a fourth quarter 2016 opening.

The Center at Pearland Parkway II NEC of FM 518 & Pearland Pkwy, Pearland The new phase for an existing power retail center is set to bring online approxi- mately 108,000 square feet of new retail space anchored by Academy Sports + Outdoors by year-end 2016.

The Boardwalk at Towne Lake Barker Cypress Rd & Tuckerton Rd, Cypress This lakeside mixed-use project with approximately 150,000 square feet features a number of restaurants, including craft beer tavern World of Beer, as well as concepts like Orangetheory, Massage Heights and others.

Cabela’s I-45 & Big League Dreams Pkwy, League City This 72,000-square-foot 2016 location is the first in the Houston area for out- doors superstore Cabela’s.

Costco Townsen Blvd & I-69, Humble This 150,000-square-foot store that opened during the first half of 2016 is the warehouse-club retailer’s eighth in the Houston area.

The Galleria Westheimer Rd & Post Oak Blvd, Houston The expansion and renovation of this leading mall saw its relocated, 198,000-square-foot Saks store open in the first half in 2016. The Saks’ relocation created the opportunity for new restaurant and retail space.

The Shoppes at Parkwest NEC of I-10 & Katy Ford Bend Rd, Katy The first phases of this planned 400,000-square-foot power center near Katy Mills Mall, which include Bed Bath & Beyond, DSW, PetSmart and Dick’s Sporting Goods, are set for opening in 2016 and will total approximately 250,000 square feet.

Dick’s Sporting Goods (multiple , , , These new stores, in the 50,000-square-foot to 80,000-square-foot range, locations) , are the chain’s first in the Houston market and are scheduled for 2016 or 2017 Willowbrook Mall openings.

NEW RETAIL FOR 2017

Grand Parkway Marketplace Grand Pkwy & Kuykendahl Rd, Spring This planned 450,000-square-foot center will be anchored by Target. The center, which is located within The Woodlands trade area, is set to open in 2017.

Yale Marketplace I-610 & Yale, Houston This new center will be anchored by one of the country’s first locations for Whole Foods new value-shopping concept, 365 by Whole Foods Market; the grocery store is to open at I-610 and Yale near the close-in Heights area in 2017.

Kroger Grand Pkwy & Morton, Katy New Kroger stores set to open in 2017 include ones in Katy and Conroe. Lone Star Pkwy & Hwy 105, Conroe

H-E-B 5130 Cedar, Bellaire A planned 70,000-square-foot store, set for a 2017 opening inside the loop in Bellaire, will replace a much smaller H-E-B location; it will be H-E-B’s first two-story store in Houston, reflecting the tight market for new development sites inside the loop.

Miramesa Town Center Fry & West, Northwest Houston This Walmart-anchored center will include a 45,000-square-foot Star Cinema Grill.

Baybrook Mall I-45 & Baybrook Mall Dr, Friendswood The power-retail expansion of the mall, with one of the already mentioned Dicks’ Sporting Goods, as well as Field & Stream, REI, Total Wine, Barnes & Noble and others, is under construction to open in 2017.

Stableside at Falcon Landing NWC of Gaston Rd & Falcon Landing Blvd, Katy The center’s first phase, planned for a 2017 opening, includes a 102,473-square- foot Kroger and approximately 35,000 square feet of shop space.

Crossing at Katy Fulshear FM 1093 & FM 1463, Katy The anchor, Walmart Supercenter, of this large power retail project is set to open in 2017.

WEITZMAN A-3 THE TEXAS SNAPSHOT 2017 NEW RETAIL FOR 2017 - CONTINUED

University Commons Shopping Center US-59 & University Blvd, Sugar Land This center, with 110,000 square feet of retail anchored by a new 50,000-square- foot Burlington store, is set to open in 2017.

The Kirby Collection Kirby Drive, Houston This mixed-use project is now underway for a late 2017 opening. The Kirby Collection will include residential, office and 67,000 square feet of upscale retail space.

Star Cinema Grill Westpark Tollway & Grand Pkwy, Katy A 42,000-square-foot multi-screen cinema is set to open in 2017.

Grand Parkway Town Center Grand Pkwy & Boudreaux, Tomball This retail project, anchored by Kroger Marketplace and Sam’s Club, is set to open in 2017.

CityPlace I-45 at Grand Pkwy, North Houston CityPlace, a mixed-use project, is under construction near the new ExxonMobil corporate campus. The project is designed to have 400,000 square feet of retail upon completion.

H-E-B-anchored retail I-10 & Eagle Dr, Mont Belvieu This new center, planned to incorporate 285,000 square feet of retail space, is slated for a 2018 opening.

Imperial Market US-90 near Hwy 6, Sugar Land Imperial Market is scheduled to break ground during the second half of 2016 for a late 2017 opening. The mixed-use project is designed to incorporate 290,000 square feet of retail space.

The Shoppes at Cinco Ranch FM 1093 & Spring Green Blvd, Katy This retail project will be anchored by a 100,000-square-foot Lowe’s store set to open in spring 2017. In addition to Lowe’s, small-shop space that includes Great Clips, a nail salon and a gym is set to open in ­summer 2016.

The Market at Springwoods Village Grand Pkwy & Holzwarth Rd, Spring This community center now underway at Grand Parkway and Holzwarth Road is scheduled for a 2017 opening. The center is anchored by a 100,000-square-foot Kroger and will feature additional space.

Spring Pines Shopping Center Spring Cypress & Holzwarth Rd, Spring This center will feature a 123,000-square-foot Kroger Marketplace along with approximately 50,000 square feet of shop space. Completion is set for 2017 in, appropriately enough, spring.

Mid-Main Main St, along Main St’s light rail line, Houston Mid-Main in Midtown Houston will open in 2017 with approximately 29,000 square feet of retail, in addition to multi-­family space.

WEITZMAN A-4 THE TEXAS SNAPSHOT 2017 APPENDIX 4: SAN ANTONIO CONSTRUCTION

NEW RETAIL FOR 2016 AND 2017

Walmart Supercenter Cibolo Valley Dr & Borgfeld Rd, Cibolo This approximately 182,000-square-foot Supercenter opened during the first quarter 2016.

Walmart Supercenter NWQ of Boerne Stage Rd & I-10, San Antonio An approximately 155,000-square-foot Walmart Supercenter anchors Boerne Stage Crossing, which plans future phases.

Walmart Supercenter 510 Kitty Hawk Rd, Universal City This Supercenter should open during the second half of 2016.

Walmart Neighborhood Markets, San 3418 East Southcross Rd These smaller Neighborhood Market stores opened in San Antonio during the Antonio first half of 2016. 3837 Pleasanton Rd 6938 Walzem 9005 FM 1560 North

Walmart Neighborhood Market Toepperwein Rd & Kitty Hawk Rd Converse Walmart is under construction with a Neighborhood Market in Converse.

H-E-B Plus! 2965 I-35, at FM 306, New Braunfels A 120,000-square-foot store opened in June.

H-E-B 1368 East Court St, Seguin This 100,000-square-foot store represents the relocation and expansion of an adjacent smaller location, which is being demolished for parking.

H-E-B Bulverde Rd & Loop 1604, San Antonio This H-E-B store is planned for 2017.

Natural Grocers by Vitamin Cottage 13310 NW Military Hwy The -based specialty grocer entered the market in 2016 with two new stores. The first store, with 15,000 square feet, opened on NW Military Highway, 6514 N New Braunfels Ave and the second store is underway at the site of a demolished retail building on N New Braunfels Avenue. San Antonio

Academy Sports & Outdoors 7503 S Zarzamora at I-35, San Antonio The sporting goods giant is relocating its S.W. Military store to a newly built 62,942-square-foot store.

Rooms To Go 15339 I-35 North, San Antonio This newly constructed store opened in early 2016. Rooms To Go’s new store format averages approximately 40,000 square feet.

Sun & Ski 5811 Worth Pkwy, San Antonio The specialty sporting goods store is opening a new-construction store totaling 10,700 square feet at The Rim.

Santikos Theaters 11210 Alamo Ranch Pkwy, San Antonio Santikos Theaters opened a new 16-screen location called Casa Blanca. The ap- proximately 110,000-square-foot mega-theater includes a host of entertainment and dining options, including a bowling alley, a café, a gelato station, cocktails and beer and wine.

The Plaza at Vance Jackson SEC of Vance Jackson & UTSA Blvd, San This retail strip center, with 28,000 square feet, is scheduled to open during the Antonio second half of the year.

WEITZMAN A-5 THE TEXAS SNAPSHOT 2017 AUSTIN DFW HOUSTON SAN ANTONIO 4200 North Lamar 3102 Maple Ave, Ste 600 1800 Bering Dr, Ste 550 70 NE Loop 410, Ste 450 Austin, Texas 78756 Dallas, Texas 75201 Houston, Texas 77057 San Antonio, Texas 78216 512.482.0094 214.954.0600 713.781.7111 210.366.3500

WEITZMAN A-6 THE TEXAS SNAPSHOT 2017